Senator Bernie Moreno introduced the Transportation Freedom Act, a bill aimed at strengthening American auto manufacturing while reducing vehicle costs for consumers by eliminating what he calls burdensome government mandates.
The legislation has garnered support from foremost automotive industry leaders, including General Motors, Stellantis, Toyota, the National Automobile Dealers Association (NADA), and the Alliance for Automotive Innovation.
In addition, the bill provides a historic investment in American auto workers by offering a 200% tax deduction on wages up to $150,000, ensuring the savings cannot be used for stock buybacks. It also seeks to lower car prices by rolling back federal and state emissions mandates, such as the EPA’s tailpipe rule and California’s zero-emission vehicle requirements. Further, the legislation aims to streamline federal regulatory processes, reducing costs and delays for automakers.
Moreno criticized existing regulations, arguing they have flooded car lots with expensive EVs that consumers don’t want, while also contributing to factory shutdowns across the country. He emphasized that his bill would restore consumer choice and ensure more vehicles sold in the U.S. are manufactured domestically.
Co-sponsored by Senators like Indiana Republican Jim Banks, Montant Republican Sheehy, and West Virginia Republican Jim Justice, the bill aligns with broader efforts to reshape U.S. auto policy under the new administration. However, supporters argue that repealing recent emissions mandates will revitalize American auto manufacturing and prevent job losses.
Moreover, industry leaders have backed the measure, citing the need for regulatory consistency and consumer choice. General Motors expressed that the bill aligns emissions policies with market realities, while Toyota and Stellantis highlighted the importance of regulation stability to support long-term industry investment. NADA and the American Trucking Associations also praised the bill for promoting affordability and preventing supply chain disruptions.
The Transportation Freedom Act marks a key push by lawmakers to shift federal policy in favor of traditional auto manufacturing while addressing rising vehicle costs. As the bill moves through Congress, its potential impact on emissions regulations, consumer prices, and domestic auto jobs is expected to be widely debated.